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When the holiday season comes to a close, business owners and their employees can relax and prepare for the new year, knowing that the frenzied shopping rush is now behind them. The retail stores, restaurants, and other establishments, once bustling with eager shoppers and the sounds of holiday cheer, begin to settle into a quieter rhythm.
However, even in this newfound calm, there is still work to be done.
From analyzing holiday sales results and cleaning business space to managing inventory, businesses must stay proactive to ensure continued success. To help companies with this process, Ameris Bank Equipment Finance has created a post-holiday checklist for businesses.
Unwrap your holiday sales results.
It’s important to evaluate whether the time, effort, and financial resources you invest in the holiday season yield a positive return for your business. Take the time to analyze your holiday sales results and compare them to your budget. Look for trends in sales, seasonal fluctuations, and overall performance compared to previous years’ holiday seasons.
Through this analysis, you will gain insights into your company’s holiday revenues and profit margins. This data can be used to make more informed decisions regarding inventory, pricing, marketing, and staffing in the upcoming holiday seasons.
Prepare for holiday returns.
The festive holiday season ushers in a time of celebration and gift-giving. However, it also paves the way for the return season, which follows closely behind. Whether it’s due to size issues, color preferences, or simply a mismatch in taste, returning holiday gifts has become a common practice. Knowing this, your business must be prepared for potential holiday returns.
This starts by updating your return policy and posting it in-store and on your website for maximum visibility. Consider creating a dedicated webpage that clearly outlines the return process, including step-by-step instructions, timelines for returns and exchanges, and any conditions that may apply.
It’s essential to hold a meeting with your employees to discuss the return policy. This will help create a better understanding and ensure that everyone is on the same page when handling returns.
Clean and refresh your business space.
Once the holiday season is in the rear-view mirror, you and your employees should take the time to remove any holiday decorations, such as window painting, wreaths, and decorative lighting. A thorough clean-up and refresh of your business space promotes a professional atmosphere and helps to reset your space for the upcoming year. Ideally, this should be done by the first week of January.
Many businesses set aside time to clean their spaces during non-business hours. This allows owners and employees to focus on cleaning and organizational tasks without disrupting the flow of customer interactions.
Run a post-holiday sale.
As the holiday season comes to an end, many businesses might think it’s time to wind down their sales and promotions. However, this is an ideal moment to launch a post-holiday sale, which can attract customers eager to find deals on items they may have missed during the holiday rush.
A post-holiday sale presents an opportunity to clear out seasonal stock and outdated inventory, which can be placed in a dedicated area of your business. By marking down these items, you can increase your sales revenue and make room for new products. If you decide to run a post-holiday sale, promote it well in advance on your website and in social media posts.
Prepare for a slowdown.
Consumer spending typically declines after the holidays, affecting businesses across all industries. When revenues decline after the festive season, it can be difficult for companies to cover operational costs, such as payroll, rent, utilities, and inventory. That’s why business owners must prepare for a post-holiday sales slowdown.
To navigate a slow sales period, you can implement several strategies. First, build a financial cushion in the weeks leading up to the new year. Review your company’s profits and expenses to determine whether you can set aside a specific amount of money for the future.
Next, if you have customers with outstanding invoices, consider contacting them and offering a nominal discount, such as 5% off, for early payment. Lastly, it’s wise to exercise caution when it comes to making large purchases for your business. Hold off on any investments in equipment, machinery, fixtures, or technology until your revenues return to normal levels.
Organize and manage your inventory.
Once the holiday season ends, your store’s display shelves and storage spaces might look different. They might appear empty or depleted due to holiday shopping. This change in inventory might give the impression that your store is understocked or unprepared to meet customers’ needs. So, you must replenish your inventory as soon as possible. By doing so, you restore your store’s visual appeal.
If you’re short on funds to purchase inventory, consider a short-term working capital loan. This type of loan, available to qualifying businesses from Ameris Bank Equipment Finance, can help bridge the cash-flow gap during seasonal fluctuations.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.